Although it is still far to early to assume the downtrend is over we have seen an optimistic change in direction for just about all the Cryptocurrencies, Bitcoin bounced off the $6000 mark earlier today and since surpassed $7000 and is currently flirting with the $8000 mark. All other cryptocurrencies have seen much of the losses over the past couple days regained.
This sudden bullish reversal has come on the back of comments made from the Futures Trading Commision Chairman, J. Christopher Giancarlo, who spoke before a senate committee.
Here are some of his most noteworthy comments:
“We owe it this new generation to respect their enthusiasm about virtual currencies with a thoughtful and balanced response, not a dismissive one.”
“Bitcoin’s volatility was not as large as other asset classes like [the] VIX. We have seen extreme volatility in bitcoin but in our world [commodities], we are used to volatility in asset classes,”
“‘Do no harm’ was unquestionably the right approach to development of the Internet. Similarly, I believe that ‘do no harm’ is the right overarching approach for distributed ledger technology. … With the proper balance of sound policy, regulatory oversight and private sector innovation, new technologies will allow American markets to evolve in responsible ways and continue to grow our economy and increase prosperity.”
You can also read Giancarlo’s written testimony before the Senate Banking Committee HERE
Giancarlo’s words have certainly given a little bit of hope and optimism to Cryptocurrency enthusiasts as we entered yet another day of battle in the markets.
But, whether this will be enough to send the bears back into hibernation is a question i’m sure we’ll find out soon enough!